Novaturas Reports Improved Financial Performance and Future Growth
Novaturas Reports Stronger Financial Results in 2025
Baltic tour operator Novaturas has announced a revenue of EUR 74 million for the first half of the year, as captured in their recent unaudited financial results. This represents a 19% decrease compared to the same period last year, largely due to a revised travel strategy aimed at managing market oversupply. Notably, net losses have decreased dramatically from EUR 2.28 million to EUR 791 thousand, and the company is optimistic about achieving profitability in the latter half of the year, which could further bolster the total annual results.
Strategic Adjustments Yield Positive Results
"Our first-half outcomes reflect crucial decisions made in response to last year's excess capacity amidst heightened market competition. This summer season, we implemented an optimized travel program, leading to a natural reduction in traveler volumes and revenue, but steering us closer to our objective of sustainable profitability. The effects of this strategy are evident: with better-priced products tailored to current demand, last-minute bookings—which usually shrink margins—saw an approximate 20% decrease, significantly lessening our losses. We are looking ahead to the second half of the year with confident caution, anticipating that the efficiencies we've initiated will foster profitable operations and a robust overall annual performance," remarked Kristijonas Kaikaris, CEO of Novaturas.
Long-Haul Travel and Early Bookings Surge
During the first half of 2025, Novaturas catered to 84,000 travelers, a drop from 113,000 the previous year due to the optimized strategy. However, the company reported enhancements in operational efficiency and increased aircraft load factor, achieving a load factor of 98.1% across the Baltic States, up from 94.8%. Estonia experienced notable growth, rising from 93.6% to 98.6%. Long-haul flights have also performed exceptionally well, operating at full (100%) capacity.
Long-haul travel has emerged as a key growth area, with passenger numbers up 11% year-over-year, particularly in Lithuania where long-haul travelers rose by 28%. Popular destinations include Vietnam (+76.5%), Cancun, Mexico (+38.3%), Colombo, Sri Lanka (+28.9%), and Zanzibar, Tanzania (+28.2%). Furthermore, ski travel reported solid?? in the first half, with trips to Lyon and Geneva seeing an increase of nearly 18.1% compared to January-June last year, boasting a remarkable 99.4% load factor.
Expansion and Early Sales Initiatives
This summer, Novaturas has ramped up capacity to Barcelona and Madeira, both of which are experiencing increased passenger traffic and higher load factors. The company has also undertaken early sales for its long-haul trips for the upcoming 2025/2026 winter season, witnessing a substantial 75% surge in sales compared to the same timeframe last year, reflecting buoyant demand for Colombo, Zanzibar, Vietnam, and Phuket, Thailand. Additionally, Novaturas initiated sales for the 2026 summer season earlier than in the past.
Strategic Partnerships Elevate Company Outlook
The first half of 2025 has also taken a significant turn for the better with vital strategic advances for Novaturas. A strategic investor, Neset Kockar, a Turkish entrepreneur in international aviation and tourism, joined forces with Novaturas in March. Mr. Kockar acquired a 23.2% stake from several individual shareholders, marking the first phase of the partnership. The conclusion of the second phase of the transaction is expected to elevate his stake to 33.19%, although timing remains undetermined due to pending formalities.
Moreover, Mr. Kockar's entry has substantially bolstered the company's financial standing; he provided Novaturas with a EUR 1 million loan, later expanded to EUR 2 million. This investment allowed Novaturas to secure a Suretyship of travel organizer’s contractual obligations insurance agreement with Insurance company Euroins AD, providing a EUR 9 million insurance limit to cover travelers' obligations.
In June, Novaturas extended its EUR 3 million credit line with Luminor bank, with repayment now extended until year-end.
New Leadership for Future Growth
In mid-July, a new board with extensive international travel expertise took office after the Annual General Meeting. New appointees include Sebnem Gunel, COO at Anex Group, and Chris Mottershead, president of the Institute of Travel and Tourism and a seasoned executive within the industry. Gediminas Almantas remains as Chairman, continuing his role since 2023. This board collectively aims to steer Novaturas toward greater diversification and enhanced service offerings.
Performance Overview of Novaturas Group for H1 2025 (EUR 000's):
Financial Indicators
- Revenue: H1 2025 - 74,142 | H1 2024 - 91,320 | H1 2023 - 101,351
- Gross Profit: H1 2025 - 8,926 | H1 2024 - 8,507 | H1 2023 - 15,426
- EBITDA: H1 2025 - (254) | H1 2024 - (1,565) | H1 2023 - 5,667
- Net Profit (Loss): H1 2025 - (791) | H1 2024 - (2,277) | H1 2023 - 4,582
About the Company
The Novaturas Group is a prominent tour operator with over 25 years of experience, offering an extensive range of travel options from the Baltic region. The company specializes in summer and winter vacations, sightseeing tours, exotic trips, ski holidays, workations, and group travels to numerous destinations worldwide. According to audited results, Novaturas Group recorded revenues of EUR 201 million and serviced approximately 239,000 passengers across Lithuania, Latvia, and Estonia in 2024.
Contact Information:
Auks? Kriau?i?nait?
Interim Chief Financial Officer
+370 630 37367
Frequently Asked Questions
What were Novaturas' total revenues for the first half of 2025?
Novaturas generated total revenues of EUR 74 million in the first half of 2025.
How much did Novaturas' net losses decrease?
The company's net losses decreased from EUR 2.28 million to EUR 791 thousand in the first half of 2025.
What is the expected direction for Novaturas in the second half of 2025?
The company expects to operate profitably in the second half of 2025, driven by implemented efficiency measures.
Who are the new members of Novaturas' board?
The new board includes Sebnem Gunel and Chris Mottershead, who bring a wealth of experience in the travel industry.
What strategic partnership has Novaturas secured?
Neset Kockar, a Turkish tourism businessman, has become a strategic investor in Novaturas, acquiring a notable stake.
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